Gear4music (Holdings) plc (LSE:G4M) reported a very strong third quarter to 31 December 2025, prompting an upgrade to its full-year outlook. Total revenue rose 32% year on year to £64.6 million, supported by growth of 27% in the UK and 39% across Europe and the rest of the world. Improved gross margins helped lift gross profit by £5 million to £18.7 million, leading the group to guide that full-year EBITDA will come in ahead of market expectations.
Management said the performance reflected robust demand alongside effective pricing and operational execution. Building on this momentum, the group has secured a 15-year lease on a new UK warehouse near York, which is intended to ease capacity constraints from FY27. To limit near-term financial impact and borrowing requirements, related capital expenditure has been rephased to £10.2 million in FY27 and £8.5 million in FY28.
On the back of strong trading and the revised investment profile, the board has upgraded its expectations for FY26, FY27 and FY28. While the broader consumer environment remains uncertain, management signalled increased confidence in Gear4music’s growth trajectory, supported by scale benefits and infrastructure investment.
More about Gear4music
Gear4music (Holdings) plc is the largest UK-based online retailer of musical instruments and music equipment, offering a mix of own-brand products and leading third-party brands such as Fender, Yamaha and Roland. Headquartered in York, the group operates distribution centres and showrooms across the UK and continental Europe and serves customers in around 190 countries through its proprietary multilingual and multicurrency e-commerce platform.
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